Structurally, a manager in healthcare administration could design an organization using a hierarchical, a matrix or a flat organizational structure.
A hierarchical structure is the usual form in healthcare organizations. Organizational charts that represent a CEO at the top with vice presidents reporting to that position, directors reporting to vice presidents, managers reporting to directors, and front line staff reporting to managers all fall within a hierarchical system.
In a matrix system, individuals may have more than one person to whom they report. In such an organization, a director may report to the CEO and also to a Vice President. For example, a Director of Cardiology at a hospital may report to the Vice President of Cardiovascular Services, as well as the CEO of the hospital.
A flat organizational structure is rare in healthcare organizations. This may occur in an organization that is fairly small. With this type of organizational structure, all members of the organization have an equal say. Decisions are generally made based upon consensus building.